CPI index

Chained Consumer Price Index For All Urban Consumers (C-CPI-U)

What the CPI shows

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Example question calculating CPI and inflation

January CPI: US inflation rises more than forecasted

1. Calculating inflation using a simple price indexConsider an imaginary price index, the Undergraduate Price Index (UPI), created to represent the annual purchases made by a typical undergradute.The following table contains information on the market basket for the UPI and the price of each good in 2020, 2021, and 2022.The cost of each good in the basket as well as the basket's total cost are given for 2020.Perform these same calculations for 2021 and 2022, and enter the results in the following